Loan upgrades with the same lender outpace switching as borrowers prioritise certainty
Australian mortgage holders are increasingly choosing to rework loans with their current lender instead of moving banks, according to new figures from data and analytics firm Equifax.
Overall mortgage demand in March rose 7.9% year-on-year. Applications to upgrade mortgages with the same lender increased 12.6%, compared with 6.9% growth in refinancing to a new lender. Queensland recorded the strongest rise in upgrades, up 26.9% year-on-year, followed by Western Australia at 16.5%.
Equifax linked the current pattern to stronger activity late last year. In the December quarter of 2025, first-home buyer demand rose 11.2% year-on-year, supported by government incentives, which has helped feed demand into early 2026.
“The Equifax Consumer Market Pulse March data appears to suggest that the Australian consumer entered a phase of financial preparedness,” said Kevin James (pictured right), chief solution officer at Equifax.
“The real momentum in March was among those staying put. We saw a notable 12.6% year-on-year surge in mortgage upgrades with the same lender. This growth rate is nearly double that of refinance switching, suggesting that mortgage holders were prioritising certainty.”
Equifax also reported continued participation from first-home buyers. National first-home buyer mortgage demand was up 4.3% year-on-year, while applications from borrowers aged 18 to 25 increased 11.4%. Equifax said parental equity support — often described as the “Bank of Mum and Dad” — remains a factor for younger entrants.
Unsecured lending trends may also be relevant for brokers assessing household pressure. Personal loan demand rose 9.7% year-on-year, driven by a 26.7% increase among borrowers aged 56 and over, indicating greater use of consolidation as living costs rise. Credit card demand increased 5.5%, led again by the 18–25 age bracket.
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